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tv   Special Report With Bret Baier  FOX News  July 13, 2011 4:00am-5:00am EDT

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goodbye, everybody. >> bret: good evening. i'm bret baier. this is the fox news alert. today's debt ceiling meeting between the president and congressional leaders just ended about 15 minutes ago. both sides in the debate up the ante today. president obama said he could not guarantee social security checks would go out without an extension deal in place. and senate republicans came up with a new plan to avoid a default between a deal. i'll speak exclusively to house speaker john boehner in a few moments. but first, the latest from white house correspondent mike emanuel. >> what will happen to $20 billion in social security payments if no debt limit deal is reached by august 2? the president today gave a warning. >> i can not guarantee that the checks go out on august 3 if we haven't resolved this issue. because there may simply not be the money in the coffers to do it. >> on capitol hill, senate republican leaders expressed frustration. mitch mcconnell says the
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president only given republicans three options. smoke and mirrors, tax hikes or defaults. he asserted republicans choose none of the above. >> after years of discussions, and months of negotiations, i little question that as long as this president is in the oval office, real solution is probably unattainable. >> senate democrats say they don't support fixing entitlements unless it's part of a grand debt plan. >> i will not touch medicare and medicaid for some simple little deal that we get nothing that is beneficial to the country. >> behind closed doors, speaker john boehner told house republicans when it became clear the white house would only agree to entitlement reform if it came with tax hikes he walked away. boehner expressed concern for the nation. am i angry about it? i sure as hell am. i believe we are missing a great opportunity. in public, the speaker turned his anger toward president obama. >> this debt limit increase is his problem. the president talks a good game. but when it comes time to actually putting the issues on
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the table, making decisions, they can't quite pull the trigger. >> despite the tougher talk, aides say behind closed doors the tone in the white house meetings have been frank and constructive. the treasury secretary reiterated congress realizes something must get done. >> default is not an option. failure is not an option. ahead of the third meeting, mcconnell unveiled a last choice plan to make sure default is not an option. congress would authorize $2.5 trillion with installments and strings attached. >> i would advocate we pass legislation, giving the president the authority, the authority to request of us an increase in the debt creeling that would take us past the -- debt ceiling that would take us past the end of his term. >> the thinking behind the plan is default is avoided. the president would get the political blame. the potential downside for the republicans is the president will get the money without spending or entitlement reform. bret? >> mike emanuel live on the north lawn. we're awaiting the speaker after that meeting just
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wrapped up. mike, thank you. medicare is of course part of the discussion in these negotiations. chief washington correspondent jim angle looks at how big the gap is between what medicare takes in and what it owes. >> lawmakers of both sides agree that it's unsustainable. a problem raised with the former director of the congressional budget office. >> our understanding is that medicare is insul vent to $60 trillion is that right? >> it's underfunded by any piece of arithmetic. this year, 51% of the cost comes from tax revenue, not premiums paid by seniors, an amount that will soar in coming years. the new healthcare law seeks to cap healthcare spending to measure of inflation. if it goes faster something called the independent payment advisory board or icap would find savings.
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>> the board is prohibited by law to make recommendations to ration care, reduce benefits, raise premiums or raise cost sharing. >> it would therefore be limited to calling for cuts to providers such as doctors. committee chairman paul ryan knows providers only get # 0% of the rate now, headed to 66% and then half of that. he argues that doctors will just stop treating seniors. >> it's rationing on the different word. if you say a provider we won't pay anything close to what it costs to provide the service. they'll not provide the service. >> they could come out and say as of next year, the reimbursement rate for a knee replacement is $1. that will save "x" number of doctors. >> without regard for how many doctors would do replacement under the price control. democrats say the criticism is overblown. >> it creates backstop to continue incontrol vensy of medicare if and only if the
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congress chooses not to act. >> now congress can override the ipac but it would take three-fifth majority and given reluctance of any lawmakers, it could stick. bret? >> bret: jim, thank you. stocks had another off-day following monday's downturn. the dow dropped 5th. s&p 500 lost six. the nasdaq fell 21. checking in international headlines now, u.s. provocation of secretary of state hillary clinton said president bashar assad lost legitimacy. she made the statement following monday's attack on the u.s. embassy in damascus. she said the u.s. has nothing invested in assad remaining in power. palestinian and foreign protesters class with israeli troops in two locations today. security forces use tear gas and stun grenades against the protesters in the best bank town. they want jewish settlers to
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leave the city. it was much the same story in village where at least five protesters were detained. the white house is condemning the assassination of southern afghanistan political strongman who is the president's half brother. he was killed by a close associate receiving guests at his home. david piper has reaction. >> afghan president hamid karzai equated the loss-his half-brother with the suffering of his country men. >> god willing is there will be an end to pain and suffering of afghan people and peace and security will be implemented in the country. >> visiting french president nicolas sarkozy offered condolences, saying the death was reminder of the potential cruel destiny of each afghan today. despite the outpouring of sympathy, the head of kandahar provincial council was a controversial figure in the country there were persistent allegation about the links to the opium trade.
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hamid karzai always defended his younger brother and managed to protect him despite long-standing campaign to have him removed. privately, nato officials detested wali karzai but if they wanted anything done, they had to go through him in an interview with fox news last year, he promised to turn over a new leaf. >> that is the past. now a new beginning. we are working together. >> the u.s. officials tried to work around him by pumping millions of dollars in infrastructure works in areas outside his control. control of kandahar is key in the fight against the taliban. thousands of extra u.s. troops were brought in the area of the past year to try to pacify it. the u.s. state department doesn't believe those of hamid karzai's assassination will affect the draw down in troops. danger that remains may be a vacuum than murky one in the troubled city. in kabul, david piper, fox
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news. >> bret: this afternoon president obama awarded medal of honor to army ranger who protected fellow soldiers to a live grenade. the private first class petrie becomes the second living service member to receive medal of honor for heroism in afghanistan. he lost his right hand as the grenade exploded. as we continue to follow the effect of fast and furious, we have update on monday's report that obama administration's plan for new gun restrictions on certain type of weapons. here is correspondent shannon bream. >> reporter: gun dealers in four southern border states reports that semi-automatic weapons to authorities. the department of justice and the white house -- [ inaudible ] >> it's diverting the firearms
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and lawful commerce. >> the a.f.f. is in a congressional investigation in operation fast and furious. a program where the a.t.f. allegedly allowed guns sold in the u.s. to end up in the hands of mexican drug cartels. the push-back on the new rule for skeptical g.o.p. lawmakers has been swift. >> we have no expectations that the white house will be respectful of the second amendment. we have deep concerns that they are going to push it and dare congress and the supreme court to stop them. >> reporter: many believe a pattern is developing. with the administration quietly making non-legislative changes to gun policy. including an executive order expected from the president within weeks. >> it's gutsy on their part to think they can do something through exective order when we have two recent supreme court decision of the individual right to own guns. >> gun control advocates are
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praising the new d.o.j. gun sales reporting rule and look forward to the president's next move. >> there is a great deal that could be done. the american people i think are crying out for action. and we're looking for presidential leadership on the issue. >> through senator grassley office, fox obtained internal e-mails that seem to suggest a.t.f. ats were counseled to highlight link from criminals to automatic weapons to bolster a case like the one that d.o.j. announced yesterday. >> bret: thank you. british government says it will support a motion wednesday calling for rupert murdock to abeen done his bid to take full control of british sky broadcasting in the wake of the phone hacking scand that led murdock to seek publication of the tabloid "news of the world" following sunday's final edition. he owns the parent company of fox news. coming up, the speaker of the house just out of the latest debt meeting at the
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white house. he is here. in an interview you will only see on special report. later, brit hume joins the expanded panel of all-stars the day's developments.
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>> bret: a government report shows many foreign government are not keeping track of information about potential terrorists. national correspondent catherine herridge tells us many this case no news can be very bad news for the u.s. >> fox news obtained a draft copy of the new g.a.o. report to conclude a decade after 9/11 gaping holes remain in data bases of overseas terrorist and in passport security. susan colins is a senior republican on the senate homeland security committee. >> the system truly is as strong only as the weakest link. >> according to a year-long investigation, many countries have yet to address the
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chronic problem of fake documents such as birth sert kates that are a gateway to a swen -- birth sert wait that are a gateway to general wait passport. they say they are not using buy row metrics to prevent fraud. it means a wink and nod at some airports will get a subjected terrorist through security. even with bin laden's debt at the compound in may, pakistan is the base for the al-qaeda core leadership, including ayad allawi the egyptian doctor who replaced the al-qaeda leader. pakistan's ability to track known and suspected terrorists is substandard. >> it is stunning that pakistan which is supposed to be our ally in the war against terrorism does not even share finger print data within the own government. >> while information sharing and passport security improved in the u.s., former homeland security official says the disparity overseas remains a serious problem. >> the travel documents are the same as weapons, terrorists that can't carry
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off the plot without them. if i give us a grade abroad with the partners, some of is it out of our control, we're probably closer to a "c." >> some former intelligence officials say the u.s. should use leverage to encourage standards. for some nations it's resource problems. for otherssh it's refusal to cooperate. >> bret: thank you. the speaker of the house joins me live in studi hi, anne. how are you doing? hi, evelyn. i know it's been a difficult time since your mom passed away. yeah. i miss her a lot, but i'm okay. wow. that was fast. this is the check i've been waiting for. mom had a guaranteed acceptance life insurance policy through the colonial penn program, and this will really help with the cost of her final expenses. they have been so helpful and supportive during this time. maybe i should give them a call. i really could use some more life insurance. is it affordable? it costs less t
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as we told you a moment ago, today's debt ceiling talks at the white house ended just a few moments ago. from there to here. joining me now to discuss today's developments, where we are, house speaker john boehner. thank you for coming in, mr. speaker. >> bret, good to be here.
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>> bret: this without the longest meeting yet and just minutes ago, any progress, what can you tem us about it? >> i think the big issue for today was mr. cantor and i, the majority leader in the house, pressed the president for where is his plan? we talked about a lot of opponents, h -- talked about a lot of possibilities. he and i had conversations for a couple of weeks but we have never seen the whole plan and what they are willing to do. a lot of problems we got into late last week that culminated saturday when i decided that working with them privately wasn't working is that you know, they have ideas, but they never would put them on paper. they talk about substantive reforms but they never could get there. that and they were continuing to insist on us raising taxes. so, i think it's time for the president to put his plan on the table. let's let the american people
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see what the president is proposing. you can't go out there and talk about a $4 trillion deal, agreement to substantively change the fiscal situation in washington without any facts. >> bret: today, senate minority leader condition mcconnell put together what he called a last-ditch proposal. we detailed in a story earlier. how do you view the proposal? >> i understand mitch's frustration. we're all pointed out. he points out, his idea if we can't get there, none of us believe we ought to default on the full faith and credit of the united states government. i think that idea and there are other ideas out there in terms of backup plans. in case we can't come to an agreement. >> doesn't it undercut you? >> not at all. everybody believes there needs to be a backup plan if we are unable to come to an agreement. i think mitch has done good work. >> senator reed said he is open to senator mcconnell's
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plan, so if the white house says or the president says you know what i'd like senator connel's plan and you can't get it through the house, isn't that isolating house republicans? again, this is a backup plan. we hope and believe we have to deal with it as responsible americans. listen, we've got a problem. current spending problem and a debt problem. i believe that, and i think mr. cantor, the majority leader, i do believe that mitch mcconnell and jon kyl all share the same view. we need the biggest spending cut possible. making sure that there are no tax increases on the table. >> bret: why haven't house republicans moved forward their own plan? >> we have a number of members who just don't believe they should ever vote to increase the debt ceiling. >> bret: how are you going to get anything through? >> i think it's pretty clear that there is one option. one option that our members are talking about that. is, and i brought it up with
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the president today. that is linking the increase in the debt ceiling to real enforcement mechanisms, real budget mechanisms. one of them being a balanced budget amendment to the constitution. most americans believe that washington bought ought to be balanced every year. there has been a big effort to get a balanced budget amendment passed. i think it's one of those ideas where if you could get two-third of the house, or two-third of the senate to support a balanced budget amendment, it would certainly ease the way for the kind of spending cuts we would get now. >> bret: but is there a mechmism to link to something big like that down the road? and trust that it is going to actually happen? lawmakers have been pointing to ronald reagan in his deal back in the '80s that didn't turn out that way? >> this increase in the debt ceiling would not go to the president until a balanced budget amendment had been sent to the states. that means that it has to half the house by two-third and senate by two-third.
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>> bret: do you believe the president when he said today he cannot guarantee that social security checks would go out august 3 without an extension? >> i don't know what to believe. you know, there is, the treasury secretary is going to have options. in terms of who should be paid and who shouldn't. yes, there are some debts that have to be rolled over. but there is going to be money available on august 3, and i think it's way too early to be making some types of vailed threats like that. >> bret: do you think the threat and the possibility of letters going out to beneficiaries spooks senator mcconnell? >> i do not believe that at all. i just think we don't want this to happen. we don't want social security recipients to wait a day. any longer for their checks. but it really strikes the importance of what it is we're doing.
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we made the promises to ourselves and our kids and the grand kids can't afford. i said all year, i think this is the moment. this is the opportunity for to us tack the long-term fiscal issues. >> bret: you said today raising the debt creeling is president obama's problem. you can imagine that sparked reaction from democrats. senator reid said he was stunned by the statement. take a listen. >> acting like adults does not mean walking out of the room every time the talks get serious. republicans have done it time and time again. >> conventional wisdom is over the weekend there was a deal between you and the president. you were close. you blew it up and walked away. what happened? >> no. i said on friday that we were not close. that we were in conversations. i made it clear we were this far apart on friday. on saturday we were further
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apart. that is when i decided there was no reason for me to continue to be in talks. they were never serious about taking the structural reforms to the entitlement programs that will preserve them for the long-term. they continue to insist on raising taxes. >> the other story line you were ready to make a deal on taxes and can't cantor pulled you back. was there daylight between you and the majority leader? >> eric and i have been in the same place all the way through. we want the largest possible increases to make sure programs are sustained for the long-term. save social security, save medicare and medicaid without raising taxes on the very people that we expect to invest in our economy and create jobs. >> bret: what is next? what if you don't get a deal? >> i don't know. this is how serious this is. i think the president understands how serious it is and so do my colleagues. i don't think we can miss the opportunity. it's important for us to do
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this. if you look at what is going on in europe right now, the reason they are having problems they're having there is they femaled to take the steps necessary to put the fiscal house in order. that is what america has to do and do it now. >> bret: straight up or down, how many votes can you lose on your side to get debt ceiling increased raised? >> it depends the package put together and how much the members know about it no way to make the prediction on any given set of assumptions at this point. >> you lost 59 in the continuing resolution. it seems like there is more than that number opposed to it now. >> i would agree. there are a lot of members who don't believe raising the debt ceiling under any circumstances. >> if the deal does not have major spending cuts, not now, not in the out years or does not include entitlement reform in some way do you risk
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alienating a large portion of the republican voting base that puts you in this position? 2010? >> i don't think such a proposal could pass the house. in any way, shape or form. you have members that will never vote to raise the debt ceiling and a large bloc of members who believe this really is the moment to put the fiscal house in order. to make sure we transform the entitlement programs so they're survivable for the long-term. that is where the bloc of votes are. >> bret: so senator mcconnell's plan in your estimation could never pass the house? >> i don't know that. senator mcconnell said it's a lost-ditch, backup plan. when we get here a couple of weeks from now we may look for ideas how to make sure we meet our obligations as a country to the debt that have been piled up. >> what would financial disruption look like after august 2 if the dealt creeling is not raise in the your mind? what would it look like?
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>> nobody knows what would happen. i don't believe anybody in the world believes the united states will default on our debt. nobody believes that. but given what is going on in europe, something could spook the market. and missing august 2 could spook the market. then you could have a real catastrophe. nobody wants that to happen. but i'll say this. as dangerous as that, that may be, i still think this is the time to do this. making the tough decisions today not kicking the can down the road is the right thing to do for the country. >> bret: do you believe, you have been in these backdoor meetings and you have seen what the president said publicly. do you believe he is being honest broker? >> i think the president is trying, trying to get there. but their inanalysis stance on us raising taxes is continuing to prevent us from getting this done. and his willingness to do as
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much entitlement reform as possible in order to make sure that the programs are solid and sustainable for the next 25 years. >> bret: do you trust him? >> i do. >> bret: mr. speaker, thank you very much. we look forward to hearing what is the next step. >> so do i. >> bret: coming up, an expanded panel of the fox all-stars with brit hume. begins after the break.
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can you tell the folks at home no matter what happens the social security checks are going to go out an august #? >> i cannot guarantee the checks go out on august 3 if we haven't resolved the issue because there may not be the money in the coffers to do it. >> there will be money available on august 3. i think it's way too early to be making some types of vailed threats like that. >> bret: the president and the speaker, you saw him on "special report." what about where we stand now? bring in the special expanded panel. brit hume, jeff zelney from the "new york times." marmara liasson of national public radio. sindcated columnist charles krauthammer. brit, your thoughts? >> the first thing to be said about that, that comment that you heard the president make to the cbs news, is almost certainly false. there is no question there will be a excessive coming up
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close to $200 billion of revenue in august. it does not mean there won't be disruptive. but there will be money to cover that so what the president is saying there is scare talk but it seems to be the kind of scare talk that members of the senate on the republican side have been afraid of. that is why you saw senator mcconnell out today with this complicated plan of his. >> bret: what about that, jeff? senator coffin con moving the plan forward -- senator coffin con movin --saturday senator mcconnell moving this forward and it has launchs. >> it's very complicated. but one thing it did is give at least one side of the republican house up there, one side of the republican congress is chance to rise
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above things a little bit. the president yesterday sort of looked like the grown-up. looked like he was taking charge. this gives senator mcconnell the ability to show that look, the republicans are trying here, too. but it was sharply criticized by his base. gingrich was critical of it. house republicans were as well. not sure the long-term play. but it's embraced by democrats. we'll see how it goes. >> bret: right. for house speaker boehner -- i tried to press him on this -- whether it's like throwing him under the bus. what did you think of his response? >> he doesn't want to talk about it. he says it's a backup plan. extremely complicated, number one. might be clever by half. he is saying we'll give the president authority to raise debt limit all by ourself, over our disapproval so when he does we will be on record opposing the debt ceiling increase but we will have given him the authority to
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raise it himself the he sends us the right amount of spending cuts. >> bret: here is the trick. if he vetoes. >> no, he has to veto it to work. anytime you have to explain something, maybe not the best proposal. >> bret: bottom line, it could happen, debt increase could happen with no spending cut. >> right. you give the president, the congress has the power of the purse and they want to keep the control. all of a sudden you give it to the president. it's worth remembering why we're in the situation. congress did the equivalent of knowing that it had overstepped the limits on its credit card. it appropriated spending, it spent money that is more than limit on the credit card but it neglected to raise the limit when it approved the spending. now, in retrospect it has to do that and it doesn't want to. >> bret: republicans, charles, say keep cutting. don't, you know, push up against this and fight for the cuts. the base is outrageed. if you look at the internet and every place. >> but that is because the president holds the upper hand. he holds it for two reasons.
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he controls who gets the checks on august 3 and who won't. if he wants to threaten security, he can do that. whether he has to withhold the checks or not is a moot point. as long as he threaten it, it will care the hell out of any republican anyway. second, on the issue of the public relations, obama scored a coop on the weekend. where the press completely swallowed the white house line that the president is open to entitlement cuts and therefore, the owners of any shutdown will be on republicans who are insisting on no taxes. in fact, the president has not offered ever a structural change in any of the entitlements. he pretends he does, the press is giving him a pass. and he is equipmenting on strategy in that case, i think mcconnell at least is looking for a way out. >> bret: i tried to press the speaker on the weekend developments and his
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perception of that was. seemed like more to it than conventionm wisdom. >> there were communications back and forth between the speaker and white house. presumably others as well. between thursday evening when the last meeting occurred and last saturday night when bainer put out word he couldn't go for the thing that the president had been talking about. the big deal so-called which had never been agreed to. apparently what happened is that the insistence on tax increases of such size became clear and adamant on the side of the white house. and the cuts became clear and seemed vague and weak. at that point, the speaker concluded that this was not something that he could take any further. he would have to go back to negotiate further. >> bret: we have three panels on this topic tonight. expanded. we'll be back with the politics, the policy, what is next. we know a lot of you are
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heading off to vacation with your families. it's now easier than ever to take fox news with you go to to find out how to stay connected. more with the extended panel after this break.
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what we're not going to be a party to in the senate, i'm pretty confident is default. the only way you can get an agreement that actually achieves something is when the president signs it. >> minority leader mitch mcconnell saying the senate is not going to be a party to a default. doesn't say congress or republicans, he says the senate. we're back with the panel. jeff, there is a lot being made and obviously there may be something to it, to the split within republicans. but there is still a split within democrats about any big deal. >> no question. i mean the split between republicans is getting the most attention. if you give the presidential candidates out, give the
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warning signs and the split between the democrats is real. look at nancy pelosi. she is saying that the democrats will not, she has been the driving force on this, the democrats would not vote for any major entitlement cut for revision. i'm interest to know what senator reed's response is to senator mcconnell. once this is due with a vote, the house democrats will defect en masse if there is anything that will touch medicare because they think that is their ace in the hole in the election next year. >> bret: charles speaker boehner says he wants to tie a balanced budget amendment to this deal. that is attractive for his caucus. trying to tie that to the mechanism that is done later. what about that? >> it's the only way he can
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have a majority without any democrats. in other words where he would get all the republicans or almost all to support him if he linked it with a balanced budget amendment. there is no way it would pass in the senate. it's a bridge too far. it's going to appear that way to the public. i think what we're losing sight of here is in the end, all of this is about who gets the blame. it's like with gingrich and clinton. people have to remember with divided government, gingrich attempted to govern when the republicans had two houses of congress in absence of the presidency. we were defeated. now the idea that the republicans will govern and propose all the cuts and hold only the house, it's impossible. if they lose the battle here, the public relations battle can be like '96 all over again. they'll lose the presidency. if they want this real change, they will elect a republican. that i think is what mcconnell has in the back of
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his mind. if anything happens chief and there is a disruption in the market and economy, the economy is lousy next year and who gets the blame? it should be obama. >> bret: this comes down to the numbers. numbers in senate and number in the house. >> balanced budget amendment needs two-third. they won't get it. i don't know if he just wants a symbolic vote or he is insisting that it actually pass. that is an extremely high hurdle. then three-quarter of the state has to pass it. it seems like an unattainable goal. >> they have to pass it before they raise the debt limit. what you see happening with mcconnell and boehner as well is, in the event they can't get a deal with the white house and everybody gets on board and the leaders push to pass it to bring it along as many votes on the side as they can, what the leaders are trying to do is think of something they can get the members behind.
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so the onus of the failure to raise the debt ceiling does not fall on them. boehner is socking for something to pass the house. >> bret: but is there anything, really? >> suppose he could pass through the house something that looks like this. raise the debt ceiling and attach a pile of spending cuts to it. and then you say it doesn't take effect until, it doesn't reach the president until both house and senate have passed the balanced budget constitutional amendment. it may fail in the senate but they say look, we vote to raise the debt ceiling and accompany it with something popular. the balanced budget constitutional amendment whether it's good or not is popular. it gives them political cover on this. in the end if they get a deal they need something to get through both houses which is not easy. >> there are a sizable number
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of republicans that campaigned on never raising the debt ceiling under any circumstances. i think he needs democratic votes to pass it in the house. >> he would short of that. if you put a balanced constitutional amendment next to it you don't lose many of the republicans. you might lose 20, 30, or 40. >> but then you lost your majority. >> 20. 30. there are democrats that voted for that. >> bret: we will continue the discussion with a final panel about the debt ceiling situation after a short time-o
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♪ ♪ what if you don't get a deal? >> i don't know. this is how serious this is. i think the president understands how serious it is, and so do my colleagues but i don't think we can miss this opportunity. i think it's important for us to do this, but if you look at
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what is going on in europe right now, the reason they are having problems they're having over there is because they have failed to take the steps necessary to put the fiscal house in order. that is what america has to do. we need to do it now. >> bret: speaker boehner moments ago in the exclusive interview on "special report." back with the panel. final thoughts. the next steps. charles? >> i think there is something the republicans can do. there is no opportunity because obama is not serious. on deep cuts; particularly, entitlement cut no opportunity for a big deal. the republicans ought to pass in a house a half a trillion dollars of cuts which would extend the limit until the end of the year. allowing several months to have a serious negotiation over tax reform. raise revenue and lorer the rate. it's what everybody talks about as a good idea. it goes back to '86 with reagan and tip o'neil and have discussions in the same months about a real offer on
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entitlement reform out of the democrats. the republicans ought to pass it and dare the senate or the president to actually refuse it. >> bret: does the president possibly back down on the short-term deal? >> the only scenario i see, either he blinks on a short-term deal or agrees to get symbolic tax hike on the rich, corporate jet owners and exchange of stimulus in the extension of the payroll tax cut. a lot of spending cuts or the two leader goes back to where they were before saturday night, which is is trying to work out some way that you guarantee tax reform and that both sides get what they want. >> bret: tying mechanism is the problem. jeff? >> it might be too late for that. i think that some senate republicans have been advising the house colleagues to pass something, pass anything, get it out of the house to get it moving. i'm watching for is the wall street or chamber of commerce or the business leader going to step up and put pressure on
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it? it's been behind the scenes now. the dynamic could change a little bit and get party elders or someone else involved in the conversation. but substantively, mara said is the president going to blink? i don't know. he certainly might at the end he has the most to lose here. >> john mccain said today anytime anybody says anything about the social security checks not going out, the telephone lines in his office light up and you can't get through. now, one has to imagine that similar things happen in offices at the house of representatives. especially in offices in the house of representatives where some members who said they will never vote for the extension of the debt limit no matter what are. my thought is that once people in the house get a sense, the republicans in the house who say they won't back a tetch rare increase and won't back anything short of a tremendous victory for them get a sense of what the public reaction will be like if the debt limit isn't raised and the president is in a position to make threats. the atmosphere may change.
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the atmosphere where they are trying to get a better position with the public is not necessarily the same with the room. there is a distinct possibility there will be a deal. i suspect it's small and shorter term than that the president would like. >> bret: does a deal get put together next week? >> no. republicans will react unilaterally. >> can't see how it happens a in the point. >> i think a deal gets put together. too much on both sides not to get something. >> i agree but it might take longer than next week. >> bret: there you have it. a special extented panel after the exclusive interview with the house speaker. that is it for this panel. but stay tuned to see how the debt ceiling talks are really progressing. service was very moving, wasn't it?
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>> bret: "fox news sunday" panel there finally tonight, we have been covering the back and forth on the debt ceiling for weeks now. we just uncovered new video of the behind the scenes meetings. [shouting] >> i said no. >> i said no. >> be quiet. >> you be quiet. >> you be quiet now. >> you be quiet. >> bret: if only there were cameras. drop me a tweet about this show, my interview with speaker of the house at bret underscore baier we have open invitation for president obama to appear on "special report" again any time. thanks for inviting us into your home tonight. that is it for "special report," fair, balanced, and unafraid. captions by closed captioning services


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